London South East prides itself on its community spirit, and in order to keep the chat section problem free, we ask all members to follow these simple rules. In these rules, we refer to ourselves as "we", "us", "our". The user of the website is referred to as "you" and "your".
By posting on our share chat boards you are agreeing to the following:
The IP address of all posts is recorded to aid in enforcing these conditions. As a user you agree to any information you have entered being stored in a database. You agree that we have the right to remove, edit, move or close any topic or board at any time should we see fit. You agree that we have the right to remove any post without notice. You agree that we have the right to suspend your account without notice.
Please note some users may not behave properly and may post content that is misleading, untrue or offensive.
It is not possible for us to fully monitor all content all of the time but where we have actually received notice of any content that is potentially misleading, untrue, offensive, unlawful, infringes third party rights or is potentially in breach of these terms and conditions, then we will review such content, decide whether to remove it from this website and act accordingly.
Premium Members are members that have a premium subscription with London South East. You can subscribe here.
London South East does not endorse such members, and posts should not be construed as advice and represent the opinions of the authors, not those of London South East Ltd, or its affiliates.
Sorry meant 'Vast'to survive. There is no doubt on Atlas survival position!
Atlas has no reason to be concerned. Their debt is secured against the assets at BP. Have been able to convert as required diluting existing shareholders as Vast unable to pay them to date. The bond was supposed to be temporary in my view as alternative finance was supposed to be arranged:
"The Bonds provide the required capital to enable the Company to bring its two core assets, Baita Plai in Romania and the Diamond Concession in Zimbabwe, into production. The agreed non conversion period, the early redemption and cash settlement options give us flexibility and enable us to limit dilution.
The Atlas facility will accelerate the start of production at Baita Plai while we continue to work on the establishment of a long term finance facility for Baita Plai and other assets in Romania, whether with the Swiss bank or otherwise"
After two years Vast has not been able to refinance so any deal will not be in the interest of shareholders at this late date. SP has declined significantly accordingly and reflects current dire position of BoD. Atlas currently holds the best hand and we are just waiting for the river card to see who wins. I'm hoping Atlas are able to pull out a fish to survive!
Atlas have been clearly supportive and the recent conversions show they are not concerned,
I actually think it’ll be sorted, somehow. Terms, however unlikely to be pretty reading unless Atlas see the light, peering through Prelea’s long, dark tunnel
maxcady 'I'd blow it up or give it to the Russans.'
Either way, it's a harsh way to treat your future wife........
Max - what would you do about it if you were Atlas, owes $6.5m+ and had legal rights to assets you could swap for your debt?
Thought I read something to the contrary
Just couldn’t find it
Thanks Sandyshore.....
buko: that timeline did not hold.
RNS 25 October:
"On 10 August 2021, the Company announced the restructuring of the Atlas Bond subject to certain conditions which, if satisfied, would have converted the Atlas Bond into a fixed non-equity linked loan but with a premium on redemption and with additional warrants at 16p per share. The Company has to announce that the conditions of the restructure, outside of the control of the Company, have not been agreed between both Atlas and Mercuria, and therefore the status of the Atlas Bond reverts to the status quo ante as an equity linked bond in accordance with its original terms."
So due for settlement 29 Jan.
AUGUST 2021 RNS ..
The purpose of the legally binding HOT is to restructure the existing equity linked convertible Bonds repayable on 29 January 2022 into a traditional senior secured loan with a fixed price premium with repayment postponed to 30 June 2022. The par value of the Bonds currently outstanding is $6.5 million.
Max - vast don’t have to convince Atlas of anything: they have to pay them
Soon
Agreed
I am In!
Enjoy the ride
GLA
Guys there is no way this new guy would have put £800,000 into this thing if it’s about to go belly up
And Prelea would have asked for further headroom
Difficult for another miner to value BP if seized and put up for sale by Atlas. A self-assessed JORC and Prelea’s comments about ‘Aladdin’s Cave’…
Equally, if Vast did default to Atlas - how would Atlas lose exactly? Unless it’s me who’s being a bit thick they should be able to get their losses back in a fire sale to another miner, no?
maxcady: "VAST would not be able to operate in Romania without Prelea."
That's not true. They now have Nicolae Turdean as Country Manager. He used to run the national mining agency (ANRM) so is very well connected.
Suppose AP dropped dead of a heart attack. You think Vast would suddenly cease? No. The mining would continue, the country management would continue and the corporate top level would continue.
Julian - it only makes sense for Atlas to convert if there is enough volume for them to sell the shares into (at an appropriate profit margin for them- the last 4.6 million shares were issued at 1.57p)
Since the last little pump has stalled, volume has declined again
Would be amazed if Vast pulled anything out of the hat but I also think that if Atlas were about to take any drastic action they would not have bothered with a conversion of such a small percentage of what they are owed
Firwood 'it’s just a straight forward refinance, not an issue really..'
It's the way ya tell 'em - pure comedy gold
Even if you are being generous in terms of time scale (that this deadline has been coming for two years) , they've had since the 25th October RNS that said Atlas had pulled out of the convertible restructure, why should this board suddenly be able to pull something out if the fire with 12 days left that they havent been able to in the 80 odd days before??
There has been no recent indication of revenue that any normal upstanding lender would consider as a measure of viability, just a regular run of cash calls to keep the business running - at shareholders expense
Atlas can’t be too concerned with a ch a small amount, my guess is recent conversion was to cover interest and then it’s just a straight forward refinance, not an issue really..
12 days to go until repayment or rescheduling of $6.5m debt due 29 January.
Atlas converted last week so assume nothing arranged with them yet.
Clearly BOD had no idea what they were going to to at the recent AGM.